BPO
From The Report: Philippines 2014
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Exhibiting nominal growth rates of approximately 20% every year, business process outsourcing (BPO) is the Philippines’ most successful major sector. It tripled in size between 2004 and 2007 as a result of the global financial boom, growing from 100,000 to 300,000 employees and achieving revenues of $4.8bn. While accounting for only about 2% of national employment in 2012, the sector still makes an oversized contribution to the country’s GDP and especially to growth – directly and indirectly – as it creates demand for office space, telecoms services and the consumerist lifestyles of its young employees. Growth in 2013-14 could be especially hurt by the collapse of the Indian rupee in mid-2013, which will make India’s BPO sector formidably competitive. The Philippines will need to aggressively position itself as a provider of premium quality service to retain and continue to draw cost-sensitive, fleet-footed BPO clients.
This chapter contains an interview with Jose Mari Mercado, President & CEO, Information Technology and Business Processing Association of the Philippines (IBPAP).

Articles from this Chapter

Overview

Looking to connect: Demand for services has employers scrambling to fill jobs in the sector
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Exhibiting nominal growth rates of approximately 20% every year, business process outsourcing (BPO) is the Philippines’ most successful major sector. While accounting for only about 2% of national employment in 2012, the sector still makes an oversized contribution to the country’s GDP and especially to growth, both directly and indirectly as it creates demand for office space, telecoms services and the consumerist lifestyles of its young employees. Both globally and locally, the BPO…

Interview

OBG talks to Jose Mari Mercado, President & CEO, Information Technology and Business Processing Association of the Philippines (IBPAP)
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Interview:Jose Mari Mercado How does the Philippines encourage investment in business process outsourcing (BPO) and IT? JOSE MARI MERCADO: The industry employs 777,000 people and generated $13bn for the Philippine economy in 2012. For every job the industry creates, the multiplier effect is 2.5 jobs. As a result, the government has been keen to support the expansion of the industry. The Philippine Economic Zone Authority (PEZA) has worked closely with the government to maintain incentives,…

Analysis

Hello, nurse: New services can connect patients and hospitals more cost-effectively
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Americans may be sharply divided over the merits of US President Barack Obama’s Affordable Care Act (ACA), but the Philippine BPO sector is happily gearing up for the extra outsourcing business that US health care reforms are expected to send its way. The ACA, better known as Obamacare, aims to create a virtually universal health insurance system through a mix of regulation and subsidies, while keeping most insurance and health care privately run. The new system has enormous potential to…